ELIGIBILITY VS DISQUALIFICATION Co-operative societies — Bye-laws — Eligibility criteria — Where bye-laws prescribe objective conditions relating to performance and participation for contesting elections, such provisions constitute eligibility criteria and not disqualifications under statute — High Court erred in treating them as disqualifications. (Paras 19 to 19.6)

advocatemmmohan

APEX COURT HELD THAT 

1. MAINTAINABILITY — WRIT AGAINST CO-OPERATIVE SOCIETY

Constitution of India — Article 226 — Maintainability of writ — Co-operative societies — Where dispute pertains to internal management and electoral process of co-operative societies, which are neither “State” nor performing public duty, writ jurisdiction is not ordinarily maintainable — High Court erred in entertaining writ petitions.
(Paras 14 to 14.9)

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2. ALTERNATIVE REMEDY — STATUTORY MECHANISM

Rajasthan Co-operative Societies Act, 2001 — Sections 58, 60, 104–107 — Election disputes — Where statute provides complete adjudicatory mechanism before Registrar for disputes relating to constitution, management and elections of society, writ petition bypassing such remedy without exceptional circumstances is not maintainable — High Court erred in ignoring statutory remedy.
(Paras 15 to 15.12)

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3. LOCUS — NON-PARTY AFFECTED PERSON

Appeal — Locus standi — Person not party to writ proceedings — Where impugned judgment operates in rem affecting rights of persons not impleaded, such affected persons are entitled to maintain appeal — Non-impleadment does not bar challenge.
(Para 13)

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4. RIGHT TO VOTE VS RIGHT TO CONTEST

Co-operative elections — Right to vote and right to contest — Distinction — Where bye-laws regulate eligibility to contest and not right to vote, such regulation is permissible as right to contest is statutory and subject to conditions — High Court erred in conflating both rights.
(Paras 18 to 18.7)

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5. ELIGIBILITY VS DISQUALIFICATION

Co-operative societies — Bye-laws — Eligibility criteria — Where bye-laws prescribe objective conditions relating to performance and participation for contesting elections, such provisions constitute eligibility criteria and not disqualifications under statute — High Court erred in treating them as disqualifications.
(Paras 19 to 19.6)

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6. VALIDITY OF BYE-LAWS — STATUTORY FRAMEWORK

Co-operative societies — Bye-laws — Validity — Where bye-laws prescribing eligibility conditions are framed within statutory scheme and consistent with Act and Rules, they are valid and enforceable — High Court erred in striking them down as ultra vires.
(Paras 16 to 17.5, 19.7)